IB 

Union Calendar No. 781 

115TH CONGRESS 

2D SESSION H. R. 4239 

[Report No. 115–1000] 

To distribute revenues from oil and gas leasing on the outer Continental 

Shelf to certain coastal States, to require sale of approved offshore 

oil and gas leases, to promote offshore wind lease sales, and to empower 

States to manage the development and production of oil and gas on 

available Federal land, and for other purposes. 

IN THE HOUSE OF REPRESENTATIVES 

NOVEMBER 3, 2017 

Mr. SCALISE (for himself, Mr. BISHOP of Utah, Mr. GONZALEZ of Texas, and 

Mr. CUELLAR) introduced the following bill; which was referred to the 

Committee on Natural Resources 

NOVEMBER 2, 2018 

Additional sponsors: Mr. GOSAR, Mr. CRAMER, Mr. PEARCE, Mr. LAMBORN, 

Mrs. RADEWAGEN, Mr. WEBER of Texas, Mr. LAMALFA, Mr. HUDSON, 

Mr. FLORES, Mr. DUNCAN of South Carolina, Mr. YOUNG of Alaska, Mr. 

ABRAHAM, and Mr. BRAT

NOVEMBER 2, 2018 

Reported with an amendment, committed to the Committee of the Whole 

House on the State of the Union, and ordered to be printed 

[Strike out all after the enacting clause and insert the part printed in italic] 

[For text of introduced bill, see copy of bill as introduced on November 3, 2017] 


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A BILL 

To distribute revenues from oil and gas leasing on the outer 

Continental Shelf to certain coastal States, to require 

sale of approved offshore oil and gas leases, to promote 

offshore wind lease sales, and to empower States to 

manage the development and production of oil and gas 

on available Federal land, and for other purposes. 


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1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled, 

3 SECTION 1. SHORT TITLE; TABLE OF CONTENTS. 

4 (a) SHORT TITLE.—This Act may be cited as the 

5 ‘‘Strengthening the Economy with Critical Untapped Re6 sources to Expand American Energy Act’’ or the ‘‘SECURE 

7 American Energy Act’’. 

8 (b) TABLE OF CONTENTS.—The table of contents for 

9 this Act is the following: 

Sec. 1. Short title; table of contents. 

TITLE I—OFFSHORE 

Sec. 101. Short title. 

Sec. 102. Disposition of revenues from oil and gas leasing on the outer Continental Shelf to producing States. 

Sec. 103. Limitations on the amount of distributed qualified outer Continental 

Shelf revenues under the Gulf of Mexico Energy Security Act of 

2006. 

Sec. 104. Limitation of authority of the President to withdraw areas of the outer 

Continental Shelf from oil and gas leasing. 

Sec. 105. Modification to the outer Continental Shelf leasing program. 

Sec. 106. Inspection fee collection. 

Sec. 107. Arctic rule shall have no force or effect. 

Sec. 108. Application of outer Continental Shelf Lands Act with respect to territories of the United States. 

Sec. 109. Wind lease sales for the outer Continental Shelf. 

Sec. 110. Reducing permitting delays for taking of marine mammals. 

Sec. 111. Effect. 

TITLE II—ONSHORE 

Sec. 201. Short title. 

Sec. 202. Cooperative federalism in oil and gas permitting on available Federal 

land. 

Sec. 203. Conveyance to certain States of property interest in State share of royalties and other payments. 

Sec. 204. Permitting on non-Federal surface estate. 

Sec. 205. State and Tribal authority for hydraulic fracturing regulation. 

Sec. 206. Review of Integrated Activity Plan for the National Petroleum Reserve 

in Alaska. 

Sec. 207. Protested lease sales. 

Sec. 208. Clarification regarding liability under Migratory Bird Treaty Act. 


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1 TITLE I—OFFSHORE 

2 SEC. 101. SHORT TITLE. 

3 This title may be cited as the ‘‘Accessing Strategic Re4 sources Offshore Act’’ or the ‘‘ASTRO’’ Act. 

5 SEC. 102. DISPOSITION OF REVENUES FROM OIL AND GAS 

6 LEASING ON THE OUTER CONTINENTAL 

7 SHELF TO PRODUCING STATES. 

8 Section 9 of the Outer Continental Shelf Lands Act 

9 (43 U.S.C. 1338) is amended— 

10 (1) by striking ‘‘All rentals’’ and inserting the 

11 following: 

12 ‘‘(a) IN GENERAL.—Except as otherwise provided in 

13 this section, all rentals’’; and 

14 (2) by adding at the end the following: 

15 ‘‘(b) DISTRIBUTION OF REVENUE TO PRODUCING

16 STATES.— 

17 ‘‘(1) DEFINITIONS.—In this subsection: 

18 ‘‘(A) COVERED PLANNING AREA.— 

19 ‘‘(i) IN GENERAL.—Subject to clause 

20 (ii), the term ‘covered planning area’ means 

21 each of the following planning areas, as 

22 such planning areas are generally depicted 

23 in the later of the 2017–2022 Outer Conti24 nental Shelf Oil and Gas Leasing Proposed 

25 Final Program, dated November 2016, or a 


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1 subsequent oil and gas leasing program de2 veloped under section 18 of the Outer Conti3 nental Shelf Lands Act (43 U.S.C. 1344): 

4 ‘‘(I) Mid-Atlantic. 

5 ‘‘(II) South Atlantic. 

6 ‘‘(III) Any planning area located 

7 off the coast of Alaska. 

8 ‘‘(ii) EXCLUSIONS.—The term ‘covered 

9 planning area’ does not include any area in 

10 the Atlantic— 

11 ‘‘(I) north of the southernmost lat12 eral seaward administrative boundary 

13 of the State of Maryland; or 

14 ‘‘(II) south of the northernmost 

15 lateral seaward administrative bound16 ary of the State of Florida. 

17 ‘‘(B) PRODUCING STATE.—The term ‘pro18 ducing State’ means each of the following States: 

19 ‘‘(i) Virginia. 

20 ‘‘(ii) North Carolina. 

21 ‘‘(iii) South Carolina. 

22 ‘‘(iv) Georgia. 

23 ‘‘(v) Alaska. 

24 ‘‘(C) QUALIFIED REVENUES.— 


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1 ‘‘(i) IN GENERAL.—The term ‘qualified 

2 revenues’ means revenues derived from rent3 als, royalties, bonus bids, and other sums 

4 due and payable to the United States under 

5 oil and gas leases entered into on or after 

6 the date of the enactment of this Act for an 

7 area in a covered planning area. 

8 ‘‘(ii) EXCLUSIONS.—The term ‘quali9 fied revenues’ does not include— 

10 ‘‘(I) revenues from the forfeiture of 

11 a bond or other surety securing obliga12 tions other than royalties, civil pen13 alties, or royalties taken by the Sec14 retary in-kind and not sold; 

15 ‘‘(II) revenues generated from 

16 leases subject to section 8(g); and 

17 ‘‘(III) the portion of rental reve18 nues in excess of those that would have 

19 been collected at the rental rates in ef20 fect before August 5, 1993. 

21 ‘‘(2) DEPOSIT OF QUALIFIED REVENUES.— 

22 ‘‘(A) PHASE I.—With respect to qualified 

23 revenues under leases awarded under the first 

24 leasing program approved under section 18(a) 

25 that takes effect after the date of the enactment 


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1 of this section, the Secretary of the Treasury 

2 shall deposit or allocate, as applicable— 

3 ‘‘(i) 87.5 percent into the general fund 

4 of the Treasury; and 

5 ‘‘(ii) 12.5 percent to States in accord6 ance with paragraph (3). 

7 ‘‘(B) PHASE II.—With respect to qualified 

8 revenues under leases awarded under the second 

9 leasing program approved under section 18(a) 

10 that takes effect after the date of the enactment 

11 of this section, the Secretary of the Treasury 

12 shall deposit or allocate, as applicable— 

13 ‘‘(i) 75 percent into the general fund of 

14 the Treasury; and 

15 ‘‘(ii) 25 percent to States in accord16 ance with paragraph (3). 

17 ‘‘(C) PHASE III.—With respect to qualified 

18 revenues under leases awarded under the third 

19 leasing program approved under section 18(a) 

20 that takes effect after the date of the enactment 

21 of this section and under any such leasing pro22 gram subsequent to such third leasing program, 

23 the Secretary of the Treasury shall deposit or al24 locate, as applicable— 


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1 ‘‘(i) 50 percent into the general fund of 

2 the Treasury; and 

3 ‘‘(ii) 50 percent into a special account 

4 in the Treasury from which the Secretary of 

5 the Treasury shall disburse— 

6 ‘‘(I) 75 percent to States in ac7 cordance with paragraph (3); 

8 ‘‘(II) 12.5 percent to the Secretary 

9 of Transportation for energy infra10 structure development in coastal ports; 

11 and 

12 ‘‘(III) 12.5 percent to the Sec13 retary of the Interior for units of the 

14 National Park System. 

15 ‘‘(3) ALLOCATION TO PRODUCING STATES.— 

16 ‘‘(A) IN GENERAL.—Subject to subpara17 graph (B), the Secretary of the Treasury shall 

18 allocate the qualified revenues distributed to 

19 States under paragraph (2) to each producing 

20 State in an amount based on a formula estab21 lished by the Secretary of the Interior, by regula22 tion, that— 

23 ‘‘(i) is inversely proportional to the re24 spective distances between— 


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1 ‘‘(I) the point on the coastline of 

2 the producing State that is closest to 

3 the geographical center of the applica4 ble leased tract; and 

5 ‘‘(II) the geographical center of 

6 that leased tract; 

7 ‘‘(ii) does not allocate qualified reve8 nues to any producing State that is further 

9 than 200 nautical miles from the leased 

10 tract; and 

11 ‘‘(iii) allocates not less than 10 percent 

12 of qualified revenues to each producing 

13 State that is 200 or fewer nautical miles 

14 from the leased tract. 

15 ‘‘(B) PAYMENTS TO COASTAL POLITICAL

16 SUBDIVISIONS.— 

17 ‘‘(i) IN GENERAL.—The Secretary of 

18 the Treasury shall pay 20 percent of the al19 locable share of each producing State deter20 mined under this paragraph to the coastal 

21 political subdivisions of the producing 

22 State. 

23 ‘‘(ii) ALLOCATION.—The amount paid 

24 by the Secretary of the Treasury to coastal 

25 political subdivisions shall be allocated to 


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1 each coastal political subdivision in accord2 ance with subparagraphs (B) and (E) of 

3 section 31(b)(4). 

4 ‘‘(iii) DEFINITION OF COASTAL POLIT5 ICAL SUBDIVISION.—In this subparagraph, 

6 the term ‘coastal political subdivision’ 

7 means— 

8 ‘‘(I) with respect to a contiguous 

9 coastal State, a political subdivision of 

10 such State, any part of which is— 

11 ‘‘(aa) within the coastal zone 

12 of the State (as defined in section 

13 304 of the Coastal Zone Manage14 ment 2 Act of 1972 (16 U.S.C. 

15 1453)); and 

16 ‘‘(bb) not more than 200 

17 nautical miles from the geo18 graphic center of any leased tract; 

19 and 

20 ‘‘(II) with respect to a noncontig21 uous coastal State— 

22 ‘‘(aa) a county-equivalent 

23 subdivision of the State for 

24 which— 


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1 ‘‘(AA) all or part lies 

2 within the coastal zone of the 

3 State (as defined in section 

4 304 of the Coastal Zone 

5 Management Act of 1972 (16 

6 U.S.C. 1453)); and 

7 ‘‘(BB) the closest coastal 

8 point is not more than 200 

9 nautical miles from the geo10 graphical center of any 

11 leased tract on the outer Con12 tinental Shelf; or 

13 ‘‘(bb) a municipal subdivi14 sion of the State for which— 

15 ‘‘(AA) the closest point 

16 is more than 200 nautical 

17 miles from the geographical 

18 center of a leased tract on the 

19 outer Continental Shelf; and 

20 ‘‘(BB) the State has de21 termined to be a significant 

22 staging area for oil and gas 

23 servicing, supply vessels, op24 erations, suppliers, or work25 ers. 


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1 ‘‘(4) ADMINISTRATION.—Amounts made avail2 able under paragraph (2)(B) shall— 

3 ‘‘(A) be made available, without further ap4 propriation, in accordance with this subsection; 

5 ‘‘(B) remain available until expended; 

6 ‘‘(C) be in addition to any amounts appro7 priated under— 

8 ‘‘(i) chapter 2003 of title 54, United 

9 States Code; 

10 ‘‘(ii) any other provision of this Act; 

11 and 

12 ‘‘(iii) any other provision of law; and 

13 ‘‘(D) be made available during the fiscal 

14 year immediately following the fiscal year in 

15 which such amounts were received.’’. 

16 SEC. 103. LIMITATIONS ON THE AMOUNT OF DISTRIBUTED 

17 QUALIFIED OUTER CONTINENTAL SHELF 

18 REVENUES UNDER THE GULF OF MEXICO EN19 ERGY SECURITY ACT OF 2006. 

20 Section 105(f)(1) of the Gulf of Mexico Energy Secu21 rity Act of 2006 (43 U.S.C. 1331 note) is amended to read 

22 as follows: 

23 ‘‘(1) IN GENERAL.—The total amount of quali24 fied outer Continental Shelf revenues described in sec25 tion 102(9)(A)(ii) that are made available under subVerDate Sep 11 2014 21:10 Nov 02, 2018 Jkt 089200 PO 00000 Frm 00012 Fmt 6652 Sfmt 6203 E:\BILLS\H4239.RH H4239

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1 section (a)(2) shall remain available until expended 

2 and shall not exceed— 

3 ‘‘(A) for each of fiscal years 2019 through 

4 2028, $500,000,000; and 

5 ‘‘(B) for each of fiscal years 2029 through 

6 2059, $649,800,000.’’. 

7 SEC. 104. LIMITATION OF AUTHORITY OF THE PRESIDENT 

8 TO WITHDRAW AREAS OF THE OUTER CONTI9 NENTAL SHELF FROM OIL AND GAS LEASING. 

10 (a) LIMITATION ON WITHDRAWAL FROM DISPOSITION

11 OF LANDS ON THE OUTER CONTINENTAL SHELF.—Section 

12 12 of the Outer Continental Shelf Lands Act (43 U.S.C. 

13 1341) is amended by amending subsection (a) to read as 

14 follows: 

15 ‘‘(a) LIMITATION ON WITHDRAWAL.— 

16 ‘‘(1) IN GENERAL.—Except as otherwise provided 

17 in this section, no lands of the outer Continental Shelf 

18 may be withdrawn from disposition except by an Act 

19 of Congress. 

20 ‘‘(2) NATIONAL MARINE SANCTUARIES.—The 

21 President may withdraw from disposition any of the 

22 unleased lands of the outer Continental Shelf located 

23 in a national marine sanctuary designated in accord24 ance with the National Marine Sanctuaries Act (16 

25 U.S.C. 1431 et seq.) or otherwise by statute. 


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1 ‘‘(3) EXISTING WITHDRAWALS.— 

2 ‘‘(A) IN GENERAL.—Except for the with3 drawals listed in subparagraph (B), any with4 drawal from disposition of lands on the outer 

5 Continental Shelf before the date of the enact6 ment of this subsection shall have no force or ef7 fect. 

8 ‘‘(B) EXCEPTIONS.—Subparagraph (A) 

9 shall not apply to the following withdrawals: 

10 ‘‘(i) Any withdrawal in a national 

11 marine sanctuary designated in accordance 

12 with the National Marine Sanctuaries Act. 

13 ‘‘(ii) Any withdrawal in a national 

14 monument declared under section 320301 of 

15 title 54, United States Code, or the Act of 

16 June 8, 1906 (ch. 3060; 34 Stat. 225). 

17 ‘‘(iii) Any withdrawal in the North 

18 Aleutian Basin Planning Area, including 

19 Bristol Bay.’’. 

20 (b) TERMINATION OF AUTHORITY TO ESTABLISH MA21 RINE NATIONAL MONUMENTS.—Section 320301 of title 54, 

22 United States Code, is amended by adding at the end the 

23 following: 

24 ‘‘(e) LIMITATION ON MARINE NATIONAL MONU25 MENTS.— 


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1 ‘‘(1) IN GENERAL.—Notwithstanding subsections 

2 (a) and (b), the President may not declare or reserve 

3 any ocean waters (as such term is defined in section 

4 3 of the Marine Protection, Research, and Sanctuaries 

5 Act of 1972 (33 U.S.C. 1402)) or lands beneath ocean 

6 waters as a national monument. 

7 ‘‘(2) MARINE NATIONAL MONUMENTS DES8 IGNATED BEFORE THE DATE OF THE ENACTMENT OF

9 THIS SUBSECTION.—This subsection shall not affect 

10 any national monument designated by the President 

11 before the date of the enactment of this Act.’’. 

12 SEC. 105. MODIFICATION TO THE OUTER CONTINENTAL 

13 SHELF LEASING PROGRAM. 

14 Section 18(e) of the Outer Continental Shelf Lands Act 

15 (43 U.S.C. 1344(e)) is amended by adding at the end the 

16 following: ‘‘The Secretary shall include in any such revised 

17 leasing program each unexecuted lease sale that was in18 cluded in the most recent leasing program and the Secretary 

19 shall execute each such lease sale as close as practicable to 

20 the time specified in the most recent leasing program. Sec21 tion 102(2)(C) of the National Environmental Policy Act 

22 of 1969 (42 U.S.C. 4332) shall be deemed to have been satis23 fied with respect to the execution of such unexecuted lease 

24 sales if the Secretary, in the Secretary’s sole discretion, deVerDate Sep 11 2014 21:10 Nov 02, 2018 Jkt 089200 PO 00000 Frm 00015 Fmt 6652 Sfmt 6203 E:\BILLS\H4239.RH H4239

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1 termines that such section was satisfied with respect to such 

2 unexecuted lease sales for the most recent leasing program.’’. 

3 SEC. 106. INSPECTION FEE COLLECTION. 

4 Section 22 of the Outer Continental Shelf Lands Act 

5 (43 U.S.C. 1348) is amended by adding at the end the fol6 lowing: 

7 ‘‘(g) INSPECTION FEES.— 

8 ‘‘(1) ESTABLISHMENT.—The Secretary of the In9 terior shall collect from the operators of facilities sub10 ject to inspection under subsection (c) non-refundable 

11 fees for such inspections— 

12 ‘‘(A) at an aggregate level equal to the 

13 amount necessary to offset the annual expenses of 

14 inspections of outer Continental Shelf facilities 

15 (including mobile offshore drilling units) by the 

16 Secretary of the Interior; and 

17 ‘‘(B) using a schedule that reflects the dif18 ferences in complexity among the classes of fa19 cilities to be inspected. 

20 ‘‘(2) OCEAN ENERGY SAFETY FUND.—There is es21 tablished in the Treasury a fund, to be known as the 

22 ‘Ocean Energy Safety Fund’ (referred to in this sub23 section as the ‘Fund’), into which shall be deposited 

24 all amounts collected as fees under paragraph (1) and 


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1 which shall be available as provided under paragraph 

2 (3). 

3 ‘‘(3) AVAILABILITY OF FEES.— 

4 ‘‘(A) IN GENERAL.—Notwithstanding sec5 tion 3302 of title 31, United States Code, all 

6 amounts deposited in the Fund— 

7 ‘‘(i) shall be credited as offsetting col8 lections; 

9 ‘‘(ii) shall be available for expenditure 

10 for purposes of carrying out inspections of 

11 outer Continental Shelf facilities (including 

12 mobile offshore drilling units) and the ad13 ministration of the inspection program 

14 under this section; 

15 ‘‘(iii) shall be available only to the ex16 tent provided for in advance in an appro17 priations Act; and 

18 ‘‘(iv) shall remain available until ex19 pended. 

20 ‘‘(B) USE FOR FIELD OFFICES.—Not less 

21 than 75 percent of amounts in the Fund may be 

22 appropriated for use only for the respective De23 partment of the Interior field offices where the 

24 amounts were originally assessed as fees. 


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1 ‘‘(4) INITIAL FEES.—Fees shall be established 

2 under this subsection for the fiscal year in which this 

3 subsection takes effect and the subsequent 10 years, 

4 and shall not be raised, except as determined by the 

5 Secretary to be appropriate as an adjustment equal 

6 to the percentage by which the Consumer Price Index 

7 for the month of June of the calendar year preceding 

8 the adjustment exceeds the Consumer Price Index for 

9 the month of June of the calendar year in which the 

10 fee was determined or last adjusted. 

11 ‘‘(5) ANNUAL FEES.—Annual fees shall be col12 lected under this subsection for facilities that are 

13 above the waterline, excluding drilling rigs, and are 

14 in place at the start of the fiscal year. Fees for fiscal 

15 year 2019 shall be— 

16 ‘‘(A) $10,500 for facilities with no wells, but 

17 with processing equipment or gathering lines; 

18 ‘‘(B) $17,000 for facilities with 1 to 10 

19 wells, with any combination of active or inactive 

20 wells; and 

21 ‘‘(C) $31,500 for facilities with more than 

22 10 wells, with any combination of active or inac23 tive wells. 

24 ‘‘(6) FEES FOR DRILLING RIGS.—Fees shall be 

25 collected under this subsection for drilling rigs on a 


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1 per inspection basis. Fees for fiscal year 2019 shall 

2 be— 

3 ‘‘(A) $30,500 per inspection for rigs oper4 ating in water depths of 1,000 feet or more; and 

5 ‘‘(B) $16,700 per inspection for rigs oper6 ating in water depths of less than 1,000 feet. 

7 ‘‘(7) BILLING.—The Secretary shall bill des8 ignated operators under paragraph (5) annually, 

9 with payment required within 30 days of billing. The 

10 Secretary shall bill designated operators under para11 graph (6) within 30 days of the end of the month in 

12 which the inspection occurred, with payment required 

13 within 30 days after billing. 

14 ‘‘(8) ANNUAL REPORTS.— 

15 ‘‘(A) IN GENERAL.—Not later than 60 days 

16 after the end of each fiscal year beginning with 

17 fiscal year 2019 and ending with fiscal year 

18 2029, the Secretary shall submit to the Com19 mittee on Energy and Natural Resources of the 

20 Senate and the Committee on Natural Resources 

21 of the House of Representatives a report on the 

22 operation of the Fund during the fiscal year. 

23 ‘‘(B) CONTENTS.—Each report shall in24 clude, for the fiscal year covered by the report, 

25 the following: 


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1 ‘‘(i) A statement of the amounts depos2 ited into the Fund. 

3 ‘‘(ii) A description of the expenditures 

4 made from the Fund for the fiscal year, in5 cluding the purpose of the expenditures and 

6 the additional hiring of personnel. 

7 ‘‘(iii) A statement of the balance re8 maining in the Fund at the end of the fiscal 

9 year. 

10 ‘‘(iv) An accounting of pace of permit 

11 approvals. 

12 ‘‘(v) If fee increases are proposed, a 

13 proper accounting of the potential adverse 

14 economic impacts such fee increases will 

15 have on offshore economic activity and over16 all production. 

17 ‘‘(vi) Recommendations to increase the 

18 efficacy and efficiency of offshore inspec19 tions. 

20 ‘‘(vii) Any corrective actions levied 

21 upon offshore inspectors as a result of any 

22 form of misconduct.’’. 

23 SEC. 107. ARCTIC RULE SHALL HAVE NO FORCE OR EFFECT. 

24 The rule entitled ‘‘Oil and Gas and Sulfur Operations 

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1 atory Drilling on the Arctic Outer Continental Shelf’’ and 

2 published in the Federal Register on July 15, 2016 (81 Fed. 

3 Reg. 46478), shall have no force or effect. 

4 SEC. 108. APPLICATION OF OUTER CONTINENTAL SHELF 

5 LANDS ACT WITH RESPECT TO TERRITORIES 

6 OF THE UNITED STATES. 

7 (a) IN GENERAL.—Section 2 of the Outer Continental 

8 Shelf Lands Act (43 U.S.C. 1331) is amended— 

9 (1) in paragraph (a), by inserting after ‘‘con10 trol’’ the following: ‘‘or lying within the exclusive eco11 nomic zone of the United States’’; 

12 (2) in paragraph (p), by striking ‘‘and’’ after the 

13 semicolon at the end; 

14 (3) in paragraph (q), by striking the period at 

15 the end and inserting ‘‘; and’’; and 

16 (4) by adding at the end the following: 

17 ‘‘(r) The term ‘State’ includes each territory of the 

18 United States.’’. 

19 (b) EXCLUSIONS.— 

20 (1) Section 4(a) of the Outer Continental Shelf 

21 Lands Act (43 U.S.C. 1333) is amended by adding at 

22 the end the following: 

23 ‘‘(4) This section shall not apply to the territories and 

24 possessions of the United States.’’. 


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1 (2) Section 18 of the Outer Continental Shelf 

2 Lands Act (43 U.S.C. 1344) is amended by adding at 

3 the end the following: 

4 ‘‘(i) This section shall not apply to the scheduling of 

5 lease sales in the outer Continental Shelf adjacent to the 

6 territories and possessions of the United States.’’. 

7 (c) EXPLORATION LICENSES AND LEASES.—Section 

8 8(k) of the Outer Continental Shelf Lands Act (43 U.S.C. 

9 1337) is amended by adding at the end the following: 

10 ‘‘(3) EXPLORATION LICENSES AND LEASES ON

11 OUTER CONTINENTAL SHELF ADJACENT TO TERRI12 TORIES AND POSSESSIONS.— 

13 ‘‘(A) IN GENERAL.—The Secretary is au14 thorized to grant to any qualified applicant an 

15 exploration license which will provide the exclu16 sive right to explore for minerals, other than oil, 

17 gas, and sulphur, in an area lying within the 

18 United States exclusive economic zone and the 

19 outer Continental Shelf adjacent to any territory 

20 or possession of the United States. 

21 ‘‘(B) APPLICATION.—Subsection (a) shall 

22 not apply to any area conveyed by Congress to 

23 a territorial government for administration. 

24 ‘‘(C) EXPLORATION LICENSE DURATION.— 

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1 graph will be issued for a period pursuant to 

2 regulations prescribed by the Secretary. 

3 ‘‘(D) LEASE.—Upon showing to the satis4 faction of the Secretary that valuable mineral de5 posits have been discovered by the licensee within 

6 the area described by the exploration license of 

7 the licensee, the licensee will be entitled to a lease 

8 for any or all of that area at a royalty rate es9 tablished by regulation and lease terms. 

10 ‘‘(E) LEASE DURATION.—Leases under this 

11 section will be issued for a period established by 

12 regulation with a preferential right in the lessee 

13 to renew.’’. 

14 SEC. 109. WIND LEASE SALES FOR THE OUTER CONTI15 NENTAL SHELF. 

16 The Outer Continental Shelf Lands Act (43 U.S.C. 

17 1331 et seq.) is amended by adding at the end the following: 

18 ‘‘SEC. 33. WIND LEASE SALES FOR THE OUTER CONTI19 NENTAL SHELF. 

20 ‘‘(a) AUTHORIZATION.—The Secretary may conduct 

21 wind lease sales for the outer Continental Shelf. 

22 ‘‘(b) WIND LEASE SALE PROCEDURE.—Any wind 

23 lease sale conducted under this section shall be considered 

24 a lease under section 8(p). 


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1 ‘‘(c) WIND LEASE SALE OFF COAST OF CALIFORNIA.— 

2 The Secretary, in consultation with the Secretary of De3 fense, shall offer a wind lease sale for the outer Continental 

4 Shelf off the coast of California as soon as practicable, but 

5 not later than one year after the date of enactment of this 

6 section. 

7 ‘‘(d) WIND LEASE SALES OFF COAST OF PUERTO

8 RICO, VIRGIN ISLANDS OF THE UNITED STATES, GUAM, 

9 AMERICAN SAMOA, AND THE COMMONWEALTH OF THE

10 NORTHERN MARIANA ISLANDS.— 

11 ‘‘(1) STUDY ON FEASIBILITY OF CONDUCTING

12 WIND LEASE SALES OFF COAST OF PUERTO RICO, VIR13 GIN ISLANDS OF THE UNITED STATES, GUAM, AMER14 ICAN SAMOA, AND THE COMMONWEALTH OF THE

15 NORTHERN MARIANA ISLANDS.— 

16 ‘‘(A) STUDY.—The Secretary shall conduct 

17 a study on the feasibility, including the long 

18 term economic feasibility, of conducting wind 

19 lease sales for the outer Continental Shelf off the 

20 coast of Puerto Rico, the Virgin Islands of the 

21 United States, Guam, American Samoa, and the 

22 Commonwealth of the Northern Mariana Islands. 

23 ‘‘(B) SUBMISSION OF RESULTS.—Not later 

24 than 180 days after the date of the enactment of 

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1 gress the results of the study conducted under 

2 subparagraph (A). 

3 ‘‘(2) WIND LEASE SALES CONDITIONAL UPON RE4 SULTS OF STUDY.— 

5 ‘‘(A) WIND LEASE SALE OFF COAST OF

6 PUERTO RICO.—If the study required under 

7 paragraph (1)(A) concludes that a wind lease 

8 sale for the outer Continental Shelf off the coast 

9 of Puerto Rico is feasible, then the Secretary 

10 shall offer a wind lease sale for the outer Conti11 nental Shelf off the coast of Puerto Rico as soon 

12 as practicable, but not later than one year after 

13 the date of the enactment of this section. 

14 ‘‘(B) WIND LEASE SALE OFF COAST OF VIR15 GIN ISLANDS OF THE UNITED STATES.—If the 

16 study required under paragraph (1)(A) concludes 

17 that a wind lease sale for the outer Continental 

18 Shelf off the coast of the Virgin Islands of the 

19 United States is feasible, then the Secretary shall 

20 offer a wind lease sale for the outer Continental 

21 Shelf off the coast of the Virgin Islands of the 

22 United States as soon as practicable, but not 

23 later than one year after the date of the enact24 ment of this section. 


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1 ‘‘(C) WIND LEASE SALE OFF COAST OF

2 GUAM.—If the study required under paragraph 

3 (1)(A) concludes that a wind lease sale for the 

4 outer Continental Shelf off the coast of Guam is 

5 feasible, then the Secretary shall offer a wind 

6 lease sale for the outer Continental Shelf off the 

7 coast of Guam as soon as practicable, but not 

8 later than one year after the date of the enact9 ment of this section. 

10 ‘‘(D) WIND LEASE SALE OFF COAST OF

11 AMERICAN SAMOA.—If the study required under 

12 paragraph (1)(A) concludes that a wind lease 

13 sale for the outer Continental Shelf off the coast 

14 of American Samoa is feasible, then the Sec15 retary shall offer a wind lease sale for the outer 

16 Continental Shelf off the coast of American 

17 Samoa as soon as practicable, but not later than 

18 one year after the date of the enactment of this 

19 section. 

20 ‘‘(E) WIND LEASE SALE OFF COAST OF THE

21 COMMONWEALTH OF THE NORTHERN MARIANA

22 ISLANDS.—If the study required under para23 graph (1)(A) concludes that a wind lease sale for 

24 the outer Continental Shelf off the coast of the 

25 Commonwealth of the Northern Mariana Islands 


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1 is feasible, then the Secretary shall offer a wind 

2 lease sale for the outer Continental Shelf off the 

3 coast of the Commonwealth of the Northern Mar4 iana Islands as soon as practicable, but not later 

5 than one year after the date of the enactment of 

6 this section. 

7 ‘‘(e) WIND LEASE SALE OFF COAST OF HAWAII.— 

8 ‘‘(1) STUDY ON FEASIBILITY OF CONDUCTING

9 WIND LEASE SALES OFF COAST OF THE STATE OF HA10 WAII.— 

11 ‘‘(A) STUDY.—The Secretary, in consulta12 tion with the Secretary of Defense, shall conduct 

13 a study on the feasibility of conducting wind 

14 lease sales for the outer Continental Shelf off the 

15 coast of the State of Hawaii. 

16 ‘‘(B) SUBMISSION OF RESULTS.—Not later 

17 than 180 days after the date of the enactment of 

18 this section, the Secretary shall submit to Con19 gress the results of the study conducted under 

20 subparagraph (A). 

21 ‘‘(2) WIND LEASE SALES CONDITIONAL UPON RE22 SULTS OF STUDY.—If the study required under para23 graph (1)(A) concludes that a wind lease sale for the 

24 outer Continental Shelf off the coast of the State of 

25 Hawaii is feasible, then the Secretary shall offer a 


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1 wind lease sale for the outer Continental Shelf off the 

2 coast of the State of Hawaii as soon as practicable, 

3 but not later than one year after the date of the enact4 ment of this section.’’. 

5 SEC. 110. REDUCING PERMITTING DELAYS FOR TAKING OF 

6 MARINE MAMMALS. 

7 (a) ADDRESSING PERMITS FOR TAKING OF MARINE

8 MAMMALS.—Section 101(a)(5)(D) of the Marine Mammal 

9 Protection Act of 1972 (16 U.S.C. 1371(a)(5)(D)) is amend10 ed as follows: 

11 (1) In clause (i)— 

12 (A) by striking ‘‘citizens of the United 

13 States’’ and inserting ‘‘persons’’; 

14 (B) by striking ‘‘within a specific geo15 graphic region’’; 

16 (C) by striking ‘‘of small numbers’’; 

17 (D) by striking ‘‘such citizens’’ and insert18 ing ‘‘such persons’’; and 

19 (E) by striking ‘‘within that region’’. 

20 (2) In clause (ii)— 

21 (A) in subclause (I), by striking ‘‘, and 

22 other means of effecting the least practicable im23 pact on such species or stock and its habitat’’; 

24 (B) in subclause (III), by striking ‘‘require25 ments pertaining to the monitoring and reportVerDate Sep 11 2014 21:10 Nov 02, 2018 Jkt 089200 PO 00000 Frm 00028 Fmt 6652 Sfmt 6203 E:\BILLS\H4239.RH H4239

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1 ing of such taking by harassment, including’’ 

2 and inserting ‘‘efficient and practical require3 ments pertaining to the monitoring of such tak4 ing by harassment while the activity is being 

5 conducted and the reporting of such taking, in6 cluding, as the Secretary determines necessary,’’; 

7 and 

8 (C) by adding at the end the following: 

9 ‘‘Any condition imposed pursuant to subclause (I), 

10 (II), or (III) may not result in more than a minor 

11 change to the specified activity and may not alter the 

12 basic design, location, scope, duration, or timing of 

13 the specified activity.’’. 

14 (3) In clause (iii), by striking ‘‘receiving an ap15 plication under this subparagraph’’ and inserting 

16 ‘‘an application is accepted or required to be consid17 ered complete under subclause (I)(aa), (II)(aa), or 

18 (IV) of clause (viii), as applicable,’’. 

19 (4) In clause (vi), by striking ‘‘a determination 

20 of ‘least practicable adverse impact on such species or 

21 stock’ under clause (i)(I)’’ and inserting ‘‘conditions 

22 imposed under subclause (I), (II), or (III) of clause 

23 (ii)’’. 

24 (5) By adding at the end the following: 

25 ‘‘(viii)(I) The Secretary shall— 


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1 ‘‘(aa) accept as complete a written request 

2 for authorization under this subparagraph for 

3 incidental taking described in clause (i), by not 

4 later than 45 days after the date of submission 

5 of the request; or 

6 ‘‘(bb) provide to the requester, by not later 

7 than 15 days after the date of submission of the 

8 request, a written notice describing any addi9 tional information required to complete the re10 quest. 

11 ‘‘(II) If the Secretary provides notice under sub12 clause (I)(bb), the Secretary shall, by not later than 

13 30 days after the date of submission of the additional 

14 information described in the notice— 

15 ‘‘(aa) accept the written request for author16 ization under this subparagraph for incidental 

17 taking described in clause (i); or 

18 ‘‘(bb) deny the request and provide the re19 quester a written explanation of the reasons for 

20 the denial. 

21 ‘‘(III) The Secretary may not under this sub22 paragraph make a second request for information, re23 quest that the requester withdraw and resubmit the 

24 request, or otherwise delay a decision on the request. 


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1 ‘‘(IV) If the Secretary fails to respond to a re2 quest for authorization under this subparagraph in 

3 the manner provided in subclause (I) or (II), the re4 quest shall be considered to be complete. 

5 ‘‘(ix)(I) At least 90 days before the date of the 

6 expiration of any authorization issued under this sub7 paragraph, the holder of such authorization may 

8 apply for a one-year extension of such authorization. 

9 The Secretary shall grant such extension within 14 

10 days after the date of such request on the same terms 

11 and without further review if there has been no sub12 stantial change in the activity carried out under such 

13 authorization nor in the status of the marine mam14 mal species or stock, as applicable, as reported in the 

15 final annual stock assessment reports for such species 

16 or stock. 

17 ‘‘(II) In subclause (I) the term ‘substantial 

18 change’ means a change that prevents the Secretary 

19 from making the required findings to issue an author20 ization under clause (i) with respect to such species 

21 or stock. 

22 ‘‘(III) The Secretary shall notify the applicant of 

23 such substantial changes with specificity and in writ24 ing within 14 days after the applicant’s submittal of 

25 the extension request. 


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1 ‘‘(x) If the Secretary fails to make the required 

2 findings and, as appropriate, issue the authorization 

3 within 120 days after the application is accepted or 

4 required to be considered complete under subclause 

5 (I)(aa), (II)(aa), or (III) of clause (viii), as applica6 ble, the authorization is deemed to have been issued 

7 on the terms stated in the application and without 

8 further process or restrictions under this Act.’’. 

9 (b) REMOVING DUPLICATIONS.—Section 101(a)(5)(D) 

10 of the Marine Mammal Protection Act of 1972 (16 U.S.C. 

11 1371(a)(5)(D)), as amended by subsection (a), is further 

12 amended by adding at the end the following: 

13 ‘‘(xi) Any taking of a marine mammal in com14 pliance with an authorization under this subpara15 graph is exempt from the prohibition on taking in 

16 section 9 of the Endangered Species Act of 1973 (16 

17 U.S.C. 1538). Any Federal agency authorizing, fund18 ing, or carrying out an action that results in such 

19 taking, and any agency action authorizing such tak20 ing, is exempt from the requirement to consult regard21 ing potential impacts to marine mammal species or 

22 designated critical habitat under section 7(a)(2) of 

23 such Act (16 U.S.C. 1536(a)(2)).’’. 

24 (c) TRANSFER OF CERTAIN RESPONSIBILITIES TO THE

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1 rine Mammal Protection Act of 1972 (16 U.S.C. 1362(12)) 

2 is amended— 

3 (1) in subparagraph (A), in the matter preceding 

4 clause (i), by striking ‘‘subparagraph (B)’’ and in5 serting ‘‘subparagraphs (B) and (C)’’; and 

6 (2) by adding at the end the following: 

7 ‘‘(C) In sections 101(a)(3), 101(a)(5), 103, 

8 and 104 (16 U.S.C. 1371(a)(3), 1371(a)(5), 

9 1373, and 1374), for activities associated with 

10 operations authorized under the Outer Conti11 nental Shelf Lands Act (43 U.S.C. 1331 et seq.), 

12 the term ‘Secretary’ means the Secretary of the 

13 Interior with respect to all marine mammals.’’. 

14 SEC. 111. EFFECT. 

15 Nothing in this Act, with respect to the State of Flor16 ida, shall be construed to modify— 

17 (1) the moratorium imposed by section 104 of 

18 the Gulf of Mexico Energy Security Act of 2006 (43 

19 U.S.C. 1331 note); or 

20 (2) the 2017–2022 leasing program prepared 

21 under section 18 of the Outer Continental Shelf Lands 

22 Act (43 U.S.C. 1344). 


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1 TITLE II—ONSHORE 

2 SEC. 201. SHORT TITLE. 

3 This title may be cited as the ‘‘Opportunities for the 

4 Nation and States to Harness Onshore Resources for En5 ergy Act’’ or the ‘‘ONSHORE Act’’. 

6 SEC. 202. COOPERATIVE FEDERALISM IN OIL AND GAS PER7 MITTING ON AVAILABLE FEDERAL LAND. 

8 (a) IN GENERAL.—The Mineral Leasing Act (30 

9 U.S.C. 181 et seq.) is amended— 

10 (1) by redesignating section 44 as section 47; 

11 and 

12 (2) by adding after section 43 the following new 

13 section: 

14 ‘‘SEC. 44. COOPERATIVE FEDERALISM IN OIL AND GAS PER15 MITTING ON AVAILABLE FEDERAL LAND. 

16 ‘‘(a) AUTHORIZATIONS.— 

17 ‘‘(1) IN GENERAL.—Upon receipt of an applica18 tion under subsection (b), the Secretary may delegate 

19 to a State exclusive authority— 

20 ‘‘(A) to issue an APD on available Federal 

21 land; or 

22 ‘‘(B) to approve drilling plans on available 

23 Federal land. 


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1 ‘‘(2) SUNDRY NOTICES.—Any authorization 

2 under paragraph (1) may, upon the request of the 

3 State, include authority to issue sundry notices. 

4 ‘‘(3) INSPECTION AND ENFORCEMENT.—Any au5 thorization under paragraph (1) may, upon the re6 quest of the State, include authorization to inspect 

7 and enforce an APD or drilling plan, as applicable. 

8 An authorization under paragraph (1)(A) shall not 

9 affect the ability of the Secretary to collect inspection 

10 fees under section 108(d) of the Federal Oil and Gas 

11 Royalty Management Act of 1982 (30 U.S.C. 

12 1718(d)). 

13 ‘‘(b) STATE APPLICATION PROCESS.— 

14 ‘‘(1) SUBMISSION OF APPLICATION.—A State 

15 may submit an application under subparagraph (A) 

16 or (B) of subsection (a)(1) to the Secretary at such 

17 time and in such manner as the Secretary may re18 quire. 

19 ‘‘(2) CONTENT OF APPLICATION.—An application 

20 submitted under this subsection shall include— 

21 ‘‘(A) a description of the State program 

22 that the State proposes to administer under 

23 State law; and 

24 ‘‘(B) a statement from the Governor or at25 torney general of such State that the laws of such 


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1 State provide adequate authority to carry out 

2 the State program. 

3 ‘‘(3) DEADLINE FOR APPROVAL OR DIS4 APPROVAL.—Not later than 180 days after the date of 

5 receipt of an application under this subsection, the 

6 Secretary shall approve or disapprove such applica7 tion. 

8 ‘‘(4) CRITERIA FOR APPROVAL.—The Secretary 

9 may approve an application received under this sub10 section only if the Secretary has— 

11 ‘‘(A) determined that the State applicant 

12 would be at least as effective as the Secretary in 

13 issuing APDs or in approving drilling plans, as 

14 applicable; 

15 ‘‘(B) determined that the State program of 

16 the State applicant— 

17 ‘‘(i) complies with this Act; and 

18 ‘‘(ii) provides for the termination or 

19 modification of an issued APD or approved 

20 drilling plan, as applicable, for cause, in21 cluding for— 

22 ‘‘(I) the violation of any condition 

23 of the issued APD or approved drilling 

24 plan; 


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1 ‘‘(II) obtaining the issued APD or 

2 approved drilling plan by misrepresen3 tation; or 

4 ‘‘(III) failure to fully disclose in 

5 the application all relevant facts; 

6 ‘‘(C) determined that the State applicant 

7 has sufficient administrative and technical per8 sonnel and sufficient funding to carry out the 

9 State program; 

10 ‘‘(D) provided notice to the public, solicited 

11 public comment, and held a public hearing with12 in the State; 

13 ‘‘(E) determined that approval of the appli14 cation would not result in decreased royalty pay15 ments owed to the United States under section 

16 35(a), except as provided in subsection (e) of 

17 that section; and 

18 ‘‘(F) in the case of a State applicant seek19 ing authority under subsection (a)(3) to inspect 

20 and enforce APDs or drilling plans, as applica21 ble, entered into a memorandum of under22 standing with a State applicant that delineates 

23 the Federal and State responsibilities with re24 spect to such inspection and enforcement. 


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1 ‘‘(5) DISAPPROVAL.—If the Secretary dis2 approves an application submitted under this sub3 section, then the Secretary shall— 

4 ‘‘(A) notify, in writing, the State applicant 

5 of the reason for the disapproval and any revi6 sions or modifications necessary to obtain ap7 proval; and 

8 ‘‘(B) provide any additional information, 

9 data, or analysis upon which the disapproval is 

10 based. 

11 ‘‘(6) RESUBMITTAL OF APPLICATION.—A State 

12 may resubmit an application under this subsection at 

13 any time. 

14 ‘‘(7) STATE MEMORANDUM OF UNDER15 STANDING.—Before a State submits an application 

16 under this subsection, the Secretary may, at the re17 quest of a State, enter into a memorandum of under18 standing with the State regarding the proposed State 

19 program— 

20 ‘‘(A) to delineate the Federal and State re21 sponsibilities for oil and gas regulations; 

22 ‘‘(B) to provide technical assistance; and 

23 ‘‘(C) to share best management practices. 

24 ‘‘(c) ADMINISTRATIVE FEES FOR APDS.— 


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1 ‘‘(1) IN GENERAL.—A State for which authority 

2 has been delegated under subsection (a)(1)(A) may 

3 collect a fee for each application for an APD that is 

4 submitted to the State. 

5 ‘‘(2) NO COLLECTION OF FEE BY SECRETARY.— 

6 The Secretary may not collect a fee from the appli7 cant or from the State for an application for an APD 

8 that is submitted to a State for which authority has 

9 been delegated under subsection (a)(1)(A). 

10 ‘‘(3) FEE AMOUNT.—The fee collected under 

11 paragraph (1) shall be less than or equal to the 

12 amount of the fee collected by the Secretary under sec13 tion 35(d)(2)from States for which authority has not 

14 been delegated under subsection (a)(1)(A). 

15 ‘‘(4) USE.—A State shall use 100 percent of the 

16 fees collected under this subsection for the administra17 tion of the approved State program of the State. 

18 ‘‘(d) VOLUNTARY TERMINATION OF AUTHORITY.—A 

19 State may voluntarily terminate any authority delegated 

20 to such State under subsection (a) upon providing written 

21 notice to the Secretary 60 days in advance. Upon expira22 tion of such 60-day period, the Secretary shall resume any 

23 activities for which authority was delegated to the State 

24 under subsection (a). 


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1 ‘‘(e) APPEAL OF DENIAL OF APPLICATION FOR APD 

2 OR APPLICATION FOR APPROVAL OF DRILLING PLAN.— 

3 ‘‘(1) IN GENERAL.—If a State for which the Sec4 retary has delegated authority under subsection (a)(1) 

5 denies an application for an APD or an application 

6 for approval of a drilling plan, the applicant may 

7 appeal such decision to the Department of the Inte8 rior Office of Hearings and Appeals. 

9 ‘‘(2) FEE ALLOWED.—The Secretary may charge 

10 the applicant a fee for the appeal referred to in para11 graph (1). 

12 ‘‘(f) FEDERAL ADMINISTRATION OF STATE PRO13 GRAM.— 

14 ‘‘(1) NOTIFICATION.—If the Secretary has reason 

15 to believe that a State is not administering or enforc16 ing an approved State program, the Secretary shall 

17 notify the relevant State regulatory authority of any 

18 possible deficiencies. 

19 ‘‘(2) STATE RESPONSE.—Not later than 30 days 

20 after the date on which a State receives notification 

21 of a possible deficiency under paragraph (1), the 

22 State shall— 

23 ‘‘(A) take appropriate action to correct the 

24 possible deficiency; and 


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1 ‘‘(B) notify the Secretary of the action in 

2 writing. 

3 ‘‘(3) DETERMINATION.— 

4 ‘‘(A) IN GENERAL.—On expiration of the 

5 30-day period referred to in paragraph (2), if 

6 the Secretary determines that a violation of all 

7 or any part of an approved State program has 

8 resulted from a failure of the State to administer 

9 or enforce the approved State program of the 

10 State or that the State has not demonstrated its 

11 capability and intent to administer or enforce 

12 such a program, the Secretary shall issue public 

13 notice of such a determination. 

14 ‘‘(B) APPEAL.—A State may appeal the de15 termination of the Secretary under subpara16 graph (A) in the applicable United States Dis17 trict Court. The Secretary may not resume ac18 tivities under paragraph (4) pending the resolu19 tion of the appeal. 

20 ‘‘(4) RESUMPTION BY SECRETARY.—If the Sec21 retary has made a determination under paragraph 

22 (3), the Secretary shall resume any activities for 

23 which authority was delegated to the State during the 

24 period— 


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1 ‘‘(A) beginning on the date on which the 

2 Secretary issues the public notice under para3 graph (3); and 

4 ‘‘(B) ending on the date on which the Sec5 retary determines that the State will administer 

6 or enforce, as applicable, the approved State pro7 gram of the State. 

8 ‘‘(5) STANDING.—States with approved regu9 latory programs shall have standing to sue the Sec10 retary for any action taken under this subsection. 

11 ‘‘(g) DEFINITIONS.—In this section: 

12 ‘‘(1) AVAILABLE FEDERAL LAND.—The term 

13 ‘available Federal land’ means any Federal land 

14 that— 

15 ‘‘(A) is located within the boundaries of a 

16 State; 

17 ‘‘(B) is not held by the United States in 

18 trust for the benefit of a federally recognized In19 dian Tribe or a member of such an Indian 

20 Tribe; 

21 ‘‘(C) is not a unit of the National Park 

22 System; 

23 ‘‘(D) is not a unit of the National Wildlife 

24 Refuge System, except for the portion of such 


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1 unit for which oil and gas drilling is allowed 

2 under law; 

3 ‘‘(E) is not a congressionally approved wil4 derness area under the Wilderness Act (16 U.S.C. 

5 1131 et seq.); and 

6 ‘‘(F) has been identified as land available 

7 for lease or has been leased for the exploration, 

8 development, and production of oil and gas— 

9 ‘‘(i) by the Bureau of Land Manage10 ment under— 

11 ‘‘(I) a resource management plan 

12 under the process provided for in the 

13 Federal Land Policy and Management 

14 Act of 1976 (43 U.S.C. 1701 et seq.); or 

15 ‘‘(II) an integrated activity plan 

16 with respect to the National Petroleum 

17 Reserve in Alaska; or 

18 ‘‘(ii) by the Forest Service under a Na19 tional Forest management plan under the 

20 Forest and Rangeland Renewable Resources 

21 Planning Act of 1974 (16 U.S.C. 1600 et 

22 seq.). 

23 ‘‘(2) DRILLING PLAN.—The term ‘drilling plan’ 

24 means a plan described under section 3162.3–1(e) of 


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1 title 43, Code of Federal Regulations (or successor reg2 ulation). 

3 ‘‘(3) APD.—The term ‘APD’ means a permit— 

4 ‘‘(A) that grants authority to drill for oil 

5 and gas; and 

6 ‘‘(B) for which an application has been re7 ceived that contains— 

8 ‘‘(i) a drilling plan; 

9 ‘‘(ii) a surface use plan of operations 

10 described under section 3162.3–1(f) of title 

11 43, Code of Federal Regulations (or suc12 cessor regulation); 

13 ‘‘(iii) evidence of bond coverage; and 

14 ‘‘(iv) such other information as may be 

15 required by applicable orders and notices. 

16 ‘‘(4) SECRETARY.—The term ‘Secretary’ means 

17 the Secretary of the Interior. 

18 ‘‘(5) STATE.—The term ‘State’ means each of the 

19 several States. 

20 ‘‘(6) STATE APPLICANT.—The term ‘State appli21 cant’ means a State that has submitted an applica22 tion under subsection (b). 

23 ‘‘(7) STATE PROGRAM.—The term ‘State pro24 gram’ means a program that provides for a State 

25 to— 


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1 ‘‘(A) issue APDs or approve drilling plans, 

2 as applicable, on available Federal land; and 

3 ‘‘(B) impose sanctions for violations of 

4 State laws, regulations, or any condition of an 

5 issued APD or approved drilling plan, as appli6 cable. 

7 ‘‘(8) SUNDRY NOTICE.—The term ‘sundry notice’ 

8 means a written request— 

9 ‘‘(A) to perform work not covered under an 

10 APD or drilling plan; or 

11 ‘‘(B) for a change to operations covered 

12 under a an APD or drilling plan.’’. 

13 (b) INSPECTION FEES.—Section 108 of the Federal Oil 

14 and Gas Royalty Management Act of 1982 (30 U.S.C. 1718) 

15 is amended by adding at the end the following: 

16 ‘‘(d) INSPECTION FEES FOR CERTAIN STATES.— 

17 ‘‘(1) IN GENERAL.—The Secretary shall conduct 

18 inspections of operations under each oil and gas lease. 

19 The Secretary shall collect annual nonrefundable in20 spection fees in the amount specified in paragraph 

21 (2), from each designated operator under each oil and 

22 gas lease on Federal or Indian land that is subject to 

23 inspection under subsection (b) and that is located in 

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1 ity under section 44(a)(1)(A) of the Mineral Leasing 

2 Act. 

3 ‘‘(2) AMOUNT.—The amount of the fees collected 

4 under paragraph (1) shall be— 

5 ‘‘(A) $700 for each lease or unit or 

6 communitization agreement with no active or in7 active wells, but with surface use, disturbance or 

8 reclamation; 

9 ‘‘(B) $1,225 for each lease or unit or 

10 communitization agreement with 1 to 10 wells, 

11 with any combination of active or inactive wells; 

12 ‘‘(C) $4,900 for each lease or unit or 

13 communitization agreement with 11 to 50 wells, 

14 with any combination of active or inactive wells; 

15 and 

16 ‘‘(D) $9,800 for each lease or unit or 

17 communitization agreement with more than 50 

18 wells, with any combination of active or inactive 

19 wells. 

20 ‘‘(3) ONSHORE ENERGY SAFETY FUND.—There is 

21 established in the Treasury a fund, to be known as the 

22 ‘Onshore Energy Safety Fund’ (referred to in this 

23 subsection as the ‘Fund’), into which shall be depos24 ited all amounts collected as fees under paragraph (1) 


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1 and which shall be available as provided under para2 graph (4). 

3 ‘‘(4) AVAILABILITY OF FEES.—Notwithstanding 

4 section 3302 of title 31, United States Code, all 

5 amounts deposited in the Fund— 

6 ‘‘(A) shall be credited as offsetting collec7 tions; 

8 ‘‘(B) shall be available for expenditure for 

9 purposes of carrying out inspections of onshore 

10 oil and gas operations in those States for which 

11 the Secretary has delegated authority under sec12 tion 44(a)(1)(A) of the Mineral Leasing Act; 

13 ‘‘(C) shall be available only to the extent 

14 provided for in advance in an appropriations 

15 Act; and 

16 ‘‘(D) shall remain available until expended. 

17 ‘‘(5) PAYMENT DUE DATE.—The Secretary shall 

18 require payment of any fee assessed under this sub19 section within 30 days after the Secretary provides 

20 notice of the assessment of the fee after the completion 

21 of an inspection. 

22 ‘‘(6) PENALTY.—If a designated operator as23 sessed a fee under this subsection fails to pay the full 

24 amount of the fee as prescribed in this subsection, the 

25 Secretary may, in addition to utilizing any other apVerDate Sep 11 2014 21:10 Nov 02, 2018 Jkt 089200 PO 00000 Frm 00047 Fmt 6652 Sfmt 6203 E:\BILLS\H4239.RH H4239

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1 plicable enforcement authority, assess civil penalties 

2 against the operator under section 109 in the same 

3 manner as if this section were a mineral leasing law. 

4 ‘‘(7) NOTIFICATION TO STATE OF NONCOMPLI5 ANCE.—If, on the basis of any inspection under sub6 section (b), the Secretary determines that an operator 

7 is in noncompliance with the requirements of mineral 

8 leasing laws and this chapter, the Secretary shall no9 tify the State of such noncompliance immediately.’’. 

10 (c) EXISTING AUTHORITIES.—Section 390(a) of the 

11 Energy Policy Act of 2005 (42 U.S.C. 15942(a)) is amend12 ed— 

13 (1) by striking ‘‘Action by the Secretary’’ and 

14 inserting ‘‘The Secretary’’; 

15 (2) by striking ‘‘with respect to any of the activi16 ties described in subsection (b) shall be subject to a re17 buttable presumption that the use of’’ and inserting 

18 ‘‘shall apply’’; and 

19 (3) by striking ‘‘would apply if the activity’’ and 

20 inserting ‘‘for each action described in subsection (b) 

21 if the action’’. 


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1 SEC. 203. CONVEYANCE TO CERTAIN STATES OF PROPERTY 

2 INTEREST IN STATE SHARE OF ROYALTIES 

3 AND OTHER PAYMENTS. 

4 (a) IN GENERAL.—Section 35 of the Mineral Leasing 

5 Act (30 U.S.C. 191) is amended— 

6 (1) in the first sentence of subsection (a), by 

7 striking ‘‘shall be paid into the Treasury’’ and insert8 ing ‘‘shall, except as provided in subsection (e), be 

9 paid into the Treasury’’; 

10 (2) in subsection (c)(1), by inserting ‘‘and except 

11 as provided in subsection (e)’’ before ‘‘, any rentals’’; 

12 and 

13 (3) by adding at the end the following: 

14 ‘‘(e) CONVEYANCE TO CERTAIN STATES OF PROPERTY

15 INTEREST IN STATE SHARE.— 

16 ‘‘(1) IN GENERAL.—Notwithstanding any other 

17 provision of law, on request of a State and in lieu of 

18 any payments to the State under subsection (a), the 

19 Secretary of the Interior shall convey to the State all 

20 right, title, and interest in and to the percentage spec21 ified in that subsection for that State that would oth22 erwise be required to be paid into the Treasury under 

23 that subsection. 

24 ‘‘(2) AMOUNT.—Notwithstanding any other pro25 vision of law, after a conveyance to a State under 

26 paragraph (1), any person shall pay directly to the 


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1 State any amount owed by the person for which the 

2 right, title, and interest has been conveyed to the 

3 State under this subsection. 

4 ‘‘(3) NOTICE.—The Secretary of the Interior 

5 shall promptly provide to each holder of a lease of 

6 public land to which subsection (a) applies that is lo7 cated in a State to which right, title, and interest is 

8 conveyed under this subsection notice that— 

9 ‘‘(A) the Secretary of the Interior has con10 veyed to the State all right, title, and interest in 

11 and to the amounts referred to in paragraph (1); 

12 and 

13 ‘‘(B) the leaseholder is required to pay the 

14 amounts directly to the State. 

15 ‘‘(4) REPORT.—A State that has received a con16 veyance under this subsection shall report monthly to 

17 the Office of Natural Resources Revenue of the De18 partment of the Interior the amount paid to such 

19 State pursuant to this subsection. 

20 ‘‘(5) APPLICATION WITH RESPECT TO FOGRMA.— 

21 With respect to the interest conveyed to a State under 

22 this subsection from sales, bonuses, royalties (includ23 ing interest charges), and rentals collected under the 

24 Federal Oil and Gas Royalty Management Act of 

25 1983 (30 U.S.C. 1701 et seq.), this subsection shall 


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1 only apply with respect to States for which the Sec2 retary has delegated any authority under section 

3 44(a)(1).’’. 

4 (b) ADMINISTRATIVE COSTS.—Section 35(b) of the 

5 Mineral Leasing Act (30 U.S.C. 191(b)) is amended by 

6 striking ‘‘In determining’’ and inserting ‘‘Except with re7 spect to States for which the Secretary has delegated any 

8 authority under section 44(a)(1), in determining’’. 

9 (c) CONFORMING AMENDMENT.—Section 205(f) of the 

10 Federal Oil and Gas Royalty Management Act of 1982 (30 

11 U.S.C. 1735(f)) is amended by striking ‘‘All’’ in the seventh 

12 sentence and inserting ‘‘Subject to subsection (e) of section 

13 35 of the Mineral Leasing Act (30 U.S.C. 191), all’’. 

14 SEC. 204. PERMITTING ON NON-FEDERAL SURFACE ESTATE. 

15 The Mineral Leasing Act (30 U.S.C. 181 et seq.) is 

16 amended by inserting after section 44 (as added by section 

17 202(a)(2)) the following: 

18 ‘‘SEC. 45. PERMITTING ON NON-FEDERAL SURFACE ESTATE. 

19 ‘‘(a) PERMITS NOT REQUIRED FOR CERTAIN ACTIVI20 TIES ON NON-FEDERAL SURFACE ESTATE.—The following 

21 activities conducted on non-Federal surface estate shall not 

22 require a Bureau of Land Management drilling permit 

23 under the Federal Oil and Gas Royalty Management Act 

24 of 1982 (30 U.S.C. 1701 et seq.) or section 3164.1 of title 

25 43, Code of Federal Regulations (or successor regulation) 


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1 and shall not be considered a major Federal action under 

2 the National Environmental Policy Act of 1969 (42 U.S.C. 

3 4321 et seq.): 

4 ‘‘(1) Oil and gas operations for the exploration 

5 for or development or production of oil and gas in a 

6 lease or unit or communitization agreement in which 

7 the United States holds a mineral ownership interest 

8 of 50 percent or less. 

9 ‘‘(2) Oil and gas operations that may have po10 tential drainage impacts, as determined by the Bu11 reau of Land Management, on oil and gas in which 

12 the United States holds a mineral ownership interest. 

13 ‘‘(b) DOI NOTIFICATION.—The Secretary of the Inte14 rior shall provide to each State a map or list indicating 

15 Federal mineral ownership within that State. 

16 ‘‘(c) STATE NOTIFICATION.—Each State that has 

17 issued an APD or approved a drilling plan that would im18 pact or extract oil and gas owned by the United States shall 

19 notify the Secretary of the Interior within 7 days of issuing 

20 an APD. 

21 ‘‘(d) ROYALTIES.—Nothing in this section shall affect 

22 the amount of royalties due to the United States under this 

23 Act from the production of oil and gas or alter the Sec24 retary’s authority to conduct audits and collect civil penVerDate Sep 11 2014 21:10 Nov 02, 2018 Jkt 089200 PO 00000 Frm 00052 Fmt 6652 Sfmt 6203 E:\BILLS\H4239.RH H4239

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1 alties pursuant to the Federal Oil and Gas Royalty Man2 agement Act of 1982 (30 U.S.C. 1711 et seq.). 

3 ‘‘(e) APPLICATION.—This section shall only apply with 

4 respect to States for which the Secretary has delegated any 

5 authority under section 44(a)(1).’’. 

6 SEC. 205. STATE AND TRIBAL AUTHORITY FOR HYDRAULIC 

7 FRACTURING REGULATION. 

8 The Mineral Leasing Act (30 U.S.C. 181 et seq.) is 

9 amended by inserting after section 45 (as added by section 

10 204) the following: 

11 ‘‘SEC. 46. STATE AND TRIBAL AUTHORITY FOR HYDRAULIC 

12 FRACTURING REGULATION. 

13 ‘‘(a) IN GENERAL.—The Secretary of the Interior shall 

14 not enforce any Federal regulation, guidance, or permit re15 quirement regarding hydraulic fracturing relating to oil, 

16 gas, or geothermal production activities on or under any 

17 land in any State that has regulations, guidance, or permit 

18 requirements for that activity. 

19 ‘‘(b) STATE AUTHORITY.—The Secretary of the Inte20 rior shall defer to State regulations, guidance, and permit 

21 requirements for all activities regarding hydraulic frac22 turing relating to oil, gas, or geothermal production activi23 ties on Federal land. 

24 ‘‘(c) TRANSPARENCY OF STATE REGULATIONS.— 


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1 ‘‘(1) IN GENERAL.—Each State shall submit to 

2 the Bureau of Land Management a copy of the regu3 lations of such State that apply to hydraulic frac4 turing operations on Federal land, including those 

5 that require disclosure of chemicals used in hydraulic 

6 fracturing operations. 

7 ‘‘(2) AVAILABILITY.—The Secretary of the Inte8 rior shall make available to the public on the website 

9 of the Secretary the regulations submitted under 

10 paragraph (1). 

11 ‘‘(d) TRIBAL AUTHORITY ON TRUST LAND.—The Sec12 retary of the Interior shall not enforce any Federal regula13 tion, guidance, or permit requirement with respect to hy14 draulic fracturing on any land held in trust or restricted 

15 status for the benefit of a federally recognized Indian Tribe 

16 or a member of such an Indian Tribe, except with the ex17 press consent of the beneficiary on whose behalf such land 

18 is held in trust or restricted status. 

19 ‘‘(e) HYDRAULIC FRACTURING DEFINED.—In this sec20 tion the term ‘hydraulic fracturing’ means the process of 

21 creating small cracks, or fractures, in underground geologi22 cal formations for well stimulation purposes of bringing hy23 drocarbons into the wellbore and to the surface for cap24 ture.’’. 


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1 SEC. 206. REVIEW OF INTEGRATED ACTIVITY PLAN FOR THE 

2 NATIONAL PETROLEUM RESERVE IN ALASKA. 

3 The Secretary of the Interior shall— 

4 (1) conduct a review of the National Petroleum 

5 Reserve–Alaska Final Integrated Activity Plan/Envi6 ronmental Impact Statement, for which notice of 

7 availability was published in the Federal Register on 

8 December 28, 2012 (77 Fed. Reg. 76515), to deter9 mine which lands within the National Petroleum Re10 serve in Alaska should be made available for oil and 

11 gas leasing; and 

12 (2) make available the lands described in para13 graph (1) for oil and gas leasing. 

14 SEC. 207. PROTESTED LEASE SALES. 

15 Section 17(b)(1)(A) of the Mineral Leasing Act (30 

16 U.S.C. 226(b)(1)(A)) is amended by inserting ‘‘The Sec17 retary shall resolve any protest to a lease sale within 60 

18 days following such payment.’’ after ‘‘annual rental for the 

19 first lease year.’’. 

20 SEC. 208. CLARIFICATION REGARDING LIABILITY UNDER 

21 MIGRATORY BIRD TREATY ACT. 

22 Section 6 of the Migratory Bird Treaty Act (16 U.S.C. 

23 707) is amended by adding at the end the following: 

24 ‘‘(e) This Act shall not be construed to prohibit any 

25 activity proscribed by section 2 of this Act that is accidental 


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1 or incidental to the presence or operation of an otherwise 

2 lawful activity.’’. 


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Union Calendar No. 781 

115TH CONGRESS 

2D SESSION H. R. 4239 

[Report No. 115–1000] 

A BILL 

To distribute revenues from oil and gas leasing on 

able Federal land, and for other purposes. velopment and production of oil and gas on availsales, and to empower States to manage the deand gas leases, to promote offshore wind lease States, to require sale of approved offshore oil the outer Continental Shelf to certain coastal 

NOVEMBER 2, 2018 

Reported with an amendment, committed to the Comand ordered to be printed mittee of the Whole House on the State of the Union, 


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